How Much Does Azure Cost?

Azure has different costs depending on the type of service, location, level of capacity needed, and level of management. When using Azure, you ought to pay for each service depending on usage. There are different prices for Virtual Machines, Networks, Storage, and managed disks.

How Much Does Azure Network Cost?

A Virtual Azure Network peering links virtual networks, allowing both inbound and outbound traffic using IP addresses. A virtual network is free, and with a single subscription, you can create up to 50 Virtual Networks. You can charge both egress and ingress traffic at both ends of the peered networks.

Virtual Network Peering

The cost of data transfer for a Virtual Network peering within the same region is $0.01 per GB. For global Virtual Network Peering, you can base the costs on zonal structure. For instance, data transfer from a Virtual Network in Zone 1 to another Virtual Network in Zone 2 incurs the inbound transfer rates for zone 2 and outbound transfer rates for zone 1.

Virtual Network Test Access Point (TAP)

Virtual Network TAP is an additional feature that allows users to mirror their virtual machine network traffic to a network packet continuously. The network TAP sits between two directly connected endpoint devices. The cost of a Virtual Network data transfer is $0.0125 per hour.

Virtual Network Address Transition (NAT) Gateway

The Virtual NAT Gateway allows you to connect instances in a private subnet to other services outside the Virtual Public Cloud. When you provision a NAT Gateway, the service charges you for the period per hour that the NAT Gateway is available and for each processed Gigabyte. The cost per process gigabyte is $0.045, while the cost per NAT Gateway per hour is $0.045.

What is the Cost of Azure Storage?

Microsoft Azure provides several storage services to help you store data, scale applications, and improve service performance. You can choose the storage solution that suits your budget and storage needs. Each service has different charges, and it’s best to understand how each solution costs.

Here is a breakdown analysis of Azure storage costs:

Azure Block Blobs

Azure Block Blob Storage stores binary data, backups, documents, binary data.

Block Blob Storage depends on the following:

  • Type of operation
  • Quantity of data stored
  • Data redundancy option selected

Azure Block Blob has four storage tiers:

  • Premium
  • Hot
  • Cool
  • Archive

The Premium tier stores data on fast solid-state drives (SSD). It has a higher storage cost but low transactional costs. The Hot Tier stores frequently-accessed data, while the cool tier stores infrequently accessed data. The Archive tier stores archival data that you rarely access.

Here is a table illustrating how the different Azure Block Blob tiers are charged:

Azure Data Lake Storage Gen2

Azure Data Lake Storage is a set of big-data analytics functionalities that utilize Azure Blob storage functionality. Here is an overview of Azure Data Lake Storage Pricing:

How Much Does Azure Managed Disks Cost?

Azure Managed Disks are durable, high-performance block-level storage designed to use with Azure Virtual Machines.

Azure offers four different types of Managed Disks:

  • Standard HDD Managed Disks
  • Standard SSD Managed Disks
  • Premium SSD Managed Disks
  • Ultra Disk

Azure charges an hourly rate for Managed Disks. See table below!

How Much Does Azure Virtual Machine (VM) Cost?

Azure Virtual Machines provide a wide range of computing solutions with support for Windows Server, SAP, IBM, Oracle, and Linux.

Azure provides numerous pricing options depending on the type of virtual machine you choose. See price comparisons here!

Azure Pricing Models

The three pricing models apply on different occasions and used for different types of workloads.

Azure Reserved Instances Pricing Model

Azure reserved instances save up to 72% compared to the pay-as-you-go model. They have one-year and three-year terms on almost all Azure services. Reserved Instances allows you to reserve capacity either for one or three years. You can pay the reservations with a single upfront or on a monthly basis.

You can use Azure RIs on variable and predictable workloads to save costs. This pricing model is suitable for large-scale applications.

Azure Spot Instances Pricing Model

With Azure Spot Virtual Machines, you can purchase unused compute capacity at highly discounted prices. Azure Spot Virtual Machines are ideal for the following workloads:

  • Big data
  • Batch jobs
  • Advanced analytics
  • Machine learning and AI
  • Workloads for development
  • Rendering and transcoding of videos

These workloads are fault-intolerant and can handle interruptions whenever you terminate the Spot Virtual Machines.

Azure Pay-As-You-Go Pricing Model

The pay-as-you-go model charges users based on the actual usage. When on the pay-as-you-go model, you can start or terminate your services at any time and only pay for what you use. When using this model, you’ll receive charges on a per-second basis.

The Bottom Line

The above is only a brief overview of Azure costs. Ideally, Azure cloud is broad and has lots of services that incur different costs.

To manage Azure costs, you need proper visibility on your cloud resources. nOps allows you to keep track of your costs at all times. It has cost optimization capabilities such as reserved instances utilization, rightsizing recommendations, and more.

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